The rights of the current lessor, including the assignment of the lessor's reversion, (i.e. the right of the lessor to resume possession of the land or current lease upon the happening of certain events, e.g. determination of the lease) pass to the lessee of a concurrent lease. The concurrent lease must commence before the expiration or determination of the current lease. The current lease must be noted in the Encumbrances of the concurrent lease, or it must be clearly stated on the lease or in an accompanying letter that it is a concurrent lease. A notification: 'Concurrent Lease', is entered under the current lease.
Any dealing affecting the current lease that involves the lessor must be drawn in the name of and be executed by the lessee of the concurrent lease, or be consented to by the lessee of the concurrent lease, i.e:
- a determination of lease
- a surrender of lease or
- a variation of lease.
The concurrent lessee is not required to consent to:
- a change of the lessor
- a mortgage of lease
- a sublease or
- a transfer of lease.
If the current lease is determined or surrendered before the expiry of the concurrent lease, the concurrent lessee is entitled to take possession of the premises as lessee for the remainder of the term.
Staff processing information
A notification is entered under the current lease.
PRIME CODE L
Usual lease entry.
ADD. TRANSACTION UNDR
PRIME CODE code of current registered lease as shown on the Register
PRIME NUMBER number of current registered lease
SUB CODE ULC
DETAILS Concurrent Lease.